5 ms·
The business model of losing money on every sale, but making up for it with volume, turned out to be unsustainable, who knew? It was nice to get VC-subsidized
by fmajid 8y ago
The business model of losing money on every sale, but making up for it with volume, turned out to be unsustainable, who knew?
It was nice to get VC-subsidized dinners while it lasted.
- exogeny 8y agoIt's amazing to me how few companies get this, and even more amazing that they ever find funding, much less multiple rounds.
- brianbreslin 8y agomy questions though are like: how much scale do you need to make it not a money loser? how do you rationalize the loss-leading? has any company ever broken past that threshold? (i'm guessing uber ?)